Seminar Shockers!  What You Need To Know About The 'Free' Property Seminars On Offer This Month! 

The free property seminar season is in full swing again this month. The newspapers are full of ads inviting you along. Letters of invitation are landing on doormats. E-mail boxes are full of e-mails promoting these events. Lots of IPA members are asking if these are worth attending.       

Let me be blunt. I have not yet seen, been to or heard of any free property seminar that's worth attending. Okay, that's just my honest, hand-on-heart opinion. But, at the same time, I've never, in all the years I have been writing about property, had one thumbs-up from anyone I know who has attended these events.

You're not being offered the chance to attend a free seminar purely to give you the lowdown on becoming a big-time property investor. You get something from them; a free seminar. They get something from some of the attendees; their money. Here's how it's done...

How These Seminars Work!

From what I've seen, these seminars are simply teasers, designed to excite and enthuse you about property investing. They are held in classy locations such as smart hotels. They are full of snappy-suits. They are incredibly stylish and impressively motivational. It's hard not to jump in the air by the end of the session.

But these seminars are long on style and short on substance for me. Sit there with a notebook, write down what you're being told, and you'll not even fill a page. In terms of learning anything new, I don't think you'll even have to take the lid off your pen!

You see, these seminars are a simple number-crunching exercise. The organisers invite everyone in for free; the more the better. They then want a certain percentage of those who go along to move on to the next stage; a full-paying seminar. In many cases, that's going to cost you upwards of £2,000 a time.

Avoiding The Next Level

I'll be frank - I don't think any seminar is worth £2,000. Property investing is a simple business at heart. Follow common sense steps and you'll not go far wrong. These steps are taught in books and courses and newsletters such as IPA that cost you far less than £2,000 a time! 

I've had lots of feedback on these seminars from contacts over the years - and not one of them has said anything positive about these events. I'm happy to be proved wrong - so if you're an IPA member who gives them a thumbs-up, let me know and I'll print what you say word-for word in the next IPA email!

In some ways, these seminars are all slightly different - one's pitching leveraging, another's talking yields, some are promoting UK buy-to-let properties and others are highlighting international hotspots where you must buy now! And yet, so far as I can tell, they all have one common characteristic - they're just not satisfied with your £2,000 fee and are trying to get even more of your money!

How The Organisers Profit! 

We could argue all day about the value of these seminars. The organisers would no doubt say these are worth £2,000 or whatever. I, and everyone I have ever spoken to, would disagree. In many respects, that's by the by. What concerns me is the fact that these organisers seem to want to profit every which way.

The one who's pitching leveraging seems to have property to sell you too. So does the one who's talking yields. And UK buy-to-lets! And international hotspots as well! From what I can see, they are trying to get you to invest in properties from which they are raking in commissions.

That's not all though. There are mortgage brokers you can talk to. And solicitors too. And surveyors as well. And a whole host of experts, just lining up to give you advice, part you from your hard-earned money, and give generous commissions to that seminar organiser. All this from that one free property seminar!             
                 
Horror Stories Revealed

According to the DTI, there are lots of property scams out there. These include buy-to-let properties being offered with unrealistic claims about the rental returns. I've been to one seminar where I was offered a BTL in a block of properties. The biggest problem here is when 300  or so investors go on and try to rent or sell near-identical properties at the same time.

Another scam, and it is a hot international scam right now, is when rural land is sold without planning permission on the basis that, if planning permission is given, values will rocket. But I've not yet seen any of these deals in places where I believe there is any real development potential.   

What worries me most is that IPA members will be sucked in by these free seminars and spat out the other side with a loss-making investment. Remember the typical bottom line. You are offered a free teaser seminar which enthuses and excites you. You pay a substantial sum for a full seminar where property-profiting secrets will be revealed. You'll then be sold a deal, such as an off-plan property in a massive development.  You pay excessive finance and legal costs which include the organisers' commissions. When you sell, you make a loss on the deal.

Any of that sound horribly familiar? Walk away now!